Income Taxes (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Income before income taxes and equity earnings (losses)

Income before income taxes and equity in earnings is attributable to the following jurisdictions (in thousands):

	Year Ended December 31,
	2022		2021		2020
United States	$	919,461	$	752,957	$	428,857
Foreign	65,411		71,188		22,817
Total	$	984,872	$	824,145	$	451,674

Provision for income taxes

The provision for income taxes consisted of the following (in thousands):

	Year Ended December 31,
	2022		2021		2020
Current:
Federal	$	164,135	$	124,379	$	67,093
State and other	57,459		44,783		20,680
Total current provision for income taxes	221,594		169,162		87,773
Deferred:
Federal	13,592		2,970		(1,298)
State and other	1,577		1,680		(1,244)
Total deferred provision for income taxes	15,169		4,650		(2,542)
Provision for income taxes	$	236,763	$	173,812	$	85,231

Reconciliation of the U.S. federal statutory tax rate to effective tax rate on income before income taxes and equity earnings (losses)

A reconciliation of the U.S. federal statutory tax rate to our effective tax rate on Income before income taxes and equity in earnings is as follows:

	Year Ended December 31,
	2022		2021		2020
Federal statutory rate	21.00	%	21.00	%	21.00	%
Change in valuation allowance	(0.02)		(0.11)		(0.22)
Stock-based compensation	(1.09)		(3.67)		(6.34)
Other, primarily state income tax rate	4.15		3.87		4.43
Total effective tax rate	24.04	%	21.09	%	18.87	%

Components of deferred tax assets and liabilities

The table below presents the components of our deferred tax assets and liabilities (in thousands):

	December 31,
	2022		2021
Deferred tax assets:
Product inventories	$	10,932	$	8,597
Accrued expenses	2,028		3,105
Leases	65,852		59,457
Share-based compensation	8,636		8,981
Uncertain tax positions	3,253		2,792
Net operating losses	987		2,524
Other	4,139		3,839
Total non-current	95,827		89,295
Less: Valuation allowance	(815)		(2,086)
Component reclassified for net presentation	(94,034)		(86,113)
Total non-current, net	978		1,096
Total deferred tax assets	978		1,096
Deferred tax liabilities:
Trade discounts on purchases	3,995		2,566
Prepaid expenses	4,903		4,226
Leases	64,549		58,146
Intangible assets, primarily goodwill	48,836		36,936
Depreciation	21,998		19,369
Interest rate swaps	8,512		710
Total non-current	152,793		121,953
Component reclassified for net presentation	(94,034)		(86,113)
Total non-current, net	58,759		35,840
Total deferred tax liabilities	58,759		35,840
Net deferred tax liability	$	57,781	$	34,744

Summary of activity related to uncertain tax positions

The following table summarizes the activity related to uncertain tax positions for the past three years (in thousands):

	2022		2021		2020
Balance at beginning of year	$	13,297	$	15,553	$	13,582
Increases for tax positions taken during a prior period	275		—		1,363
Increases for tax positions taken during the current period	5,264		3,518		2,721
Decreases resulting from the expiration of the statute of limitations	3,347		3,185		2,113
Decreases relating to settlements	—		2,589		—
Balance at end of year	$	15,489	$	13,297	$	15,553